Question: Gordon was able to borrow $ 1 2 0 , 0 0 0 from his employer on January 1 st last year at a rate

Gordon was able to borrow $120,000 from his employer on January 1st last year at a rate of 3% compounded annually assuming the prescribed rate was 6% for the first 2 quarters of the year and 5% for the last 2 quarters of the year, what was Gordon's taxable benefit last year as a result of the loan he obtained from his employer?

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